Investor Presentaiton
Digital Challenger Bank with Diversified Lines of Business
Differentiated Go-to-Market Strategy
Ⓡ
OpenSky Digital Bank
Initial lead product - nationwide, secured credit card to help
under-banked customers (re)establish their credit
Summary of Card Portfolios
708
700
642
660
631
616
569
577
529
534
527
540
•
Secured and unsecured credit card availability to customers
Building capabilities to cross-sell products and services as
card-holders progress on their customer journeys
401
$121
$135
$84
$141
$124
$142
$104
$137
$84
$128
$113
$123
$54
Return to normalized card growth after fast expansion
during 2020 and 2021.
Capital Bank Home Loans
• Increasing interest rates have resulted in steep declines in
mortgage origination volumes
Gain on sale margin returning to normalized levels
$136
$180
$194
$216
$242
$242
$230
$220
$214
$201
$187
$185
$187
2Q20 3Q20
4Q20
1Q21
2Q21 3Q21 4Q21 1Q22
2Q22 3Q22
4Q22 1Q23 2Q23
- # Cards (000s) Loans, net ($M)
Deposits ($M)
Mortgage Volume and Gain on Sale Margin
2.97% 3.13% 3.14%
3.00% 2.79% 2.67%
2.77%
3.02%
2.48%
2.56%
2.14% 2.05% 2.10%
$432
$382
$354
$315
$266
•
Production team focused on purchase (~93% of volume) and
niche products
$217
$158
$111
$84
$61
$61
$44
$44
2Q20
3Q20 4Q20
1Q21 2Q21 3Q21 4Q21
Re-finance ($M)
Purchase($M)
1Q22
Gain on Sale Margin (%)
2Q22 3Q22
4Q22 1Q23
2Q23
Capital Bank - Commercial Lending
Commercial branch-lite model focused on attractive
Portfolio Loans, excl. OpenSky and SBA-PPP(1)
Maryland, D.C. and Northern Virginia markets
5.51%
5.49%
5.38%
5.29%
5.86%
6.30%
6.66%
5.13% 4.96%
4.96% 5.05% 5.03%
5.22%
High value-added services generate above-average risk-
adjusted loan yields
Non-interest bearing DDA: 36% of total deposits
$1.68
$1.72
$1.61
$1.47
$1.52
$1.39
$1.41
$1.21
$1.23
$1.28
$1.32
$1.16
$1.16
CAPITAL BANCORP, INC. (1) Portfolio loans include loans held by Church Street Capital and Capital Bancorp.
2Q20 3Q20
4Q20
1Q21
2Q21 3Q21 4Q21 1Q22 2Q22 3Q22
4Q22 1Q23
2Q23
Portfolio Loans, ex OpenSky and SBA-PPP ($B)
-Yield
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